Impact

The PERTE of the Circular Economy will accelerate the implementation of the Spain Circular Strategy 2030.

17/01/2025

Source: Government of Spain.

The PERTE de Circular Economy seeks to accelerate the transition to a more efficient and sustainable production system in the use of raw materials. The circular economy involves a new paradigm of production and consumption in which resources are optimized and waste is minimized. The aim is to promote a transition from the current linear economic model based on the unsustainable sequence of extract-produce-consume-throw away to one in which the ecological footprint is reduced and the value of materials is maintained, promoting actions such as prevention in the use of resources and the generation of waste, the reuse of products and the recycling of materials.

The circular economy has the potential to create some 700,000 jobs in Europe, of which at least 10% could be generated in Spain. In addition to favoring these employment niches, the circular economy will provide resilience by alleviating the dependence of the Spanish economy on the outside world, especially in times of uncertainty about the availability of raw materials.

The Circular Economy PERTE extends this approach to all productive sectors, as well as to consumption, waste management and the establishment of markets for secondary raw materials. Planned investments include aid worth 492 million euros and are expected to mobilize resources in excess of 1.2 billion by 2026.

Most of the subsidies will go to sectors that address environmental sustainability challenges, such as textiles, fashion and footwear, plastics and renewable energy capital goods. The grants will also promote eco-design, the reuse of materials, the management of waste for material recovery and the digitalization of companies in these areas to improve competitiveness, innovation and reduce environmental impacts.

This strategic project focuses on 18 instruments distributed in two lines of action:

  1. Actions in three key sectors: textiles, fashion and footwear; plastics; and capital goods for the renewable energy industry.
  2. Transversal actions to promote the circular economy in the company. This includes aid aimed at projects to promote the circular economy in any sector, other than the three previous ones, which require support to complement their efforts. The aid will be distributed in four categories of action aimed at reducing the consumption of raw materials and the generation of waste, the development of eco-design, waste management and digitization.

The promotion of the circular economy favors new niches of activity and employment, mainly associated with the eco-design sector, reuse, repair, recycling and the service sector, as a result of greater consumption of services instead of products. In some cases, these jobs do not require a high level of training, which can help to alleviate unemployment among groups at risk of social exclusion, while others will be linked to new qualifications and technologies and to the promotion of R&D.

The European Union has included the promotion of the circular economy as one of the cornerstones of its economic and environmental policy. Following the guidelines of the European Commission, Spain adopted in June 2020 the Spanish Circular Economy Strategy - Spain Circular 2030 (PDF)a long-term strategy as a key element of the ecological transition that establishes a decalogue with quantitative targets to be achieved by 2030.

This PERTE shares synergies with others already presented, such as the Renewable Energies, Renewable Hydrogen and Storage (ERHA), the Agri-Food and the one dedicated to the development of the Electric and Connected Vehicle (EVC).

According to the data provided in the addendum to the Recovery Plan approved last June 6, 2023, the transfers to the PERTE of Circular Economy in the first phase of the Recovery Plan amount to 192 million euros. Investments that the addendum raises by 300 million euros in additional transfers to reach a total figure of 492 million euros.

 


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